More than two-thirds of participants in a recent study said they were frustrated with their digital banking experience, and are prepared to walk away from their current financial institution if a better digital experience should present itself.
The study, conducted by D3 Banking Technology and Harris Poll, surveyed 1,600 digital banking users, defined in the survey as those who have used digital banking in the past 12 months.
Sixty-eight percent of respondents said they have been frustrated with their digital banking experience.
The survey found that digital banking users ages 18 to 34 are more likely than those ages 55 and older to be frustrated with their digital banking experience. Seventy-three percent of the younger group indicated that they have been frustrated with their digital banking experience over the past year, compared to only 61 percent of adults ages 55 and over.
“The fact that nearly three-quarters of digital banking users ages 18-34, who are likely entering some of the most financial significant periods of their lives, are frustrated with the digital experience offered by financial institutions is alarming,” Mark Vipond, CEO of D3 Banking Technology, said in a statement. “As new types of technology continue to be introduced, financial institutions are going to need a strategy built on technology that features that allows them to innovate and introduce new features and functionality faster than they have to date.”
The survey also found that more than half of digital banking users feel it is important for financial institutions to provide mobile deposit (70 percent), P2P services (66 percent) and mobile account opening (51 percent) as part of their digital banking offerings.
In addition, the results indicated that financial institutions that fail to elevate the digital experience risk losing a significant portion of their customer base, as 32 percent of digital banking users report that they are willing to leave their current bank or credit union for a better digital experience.
Despite the potential frustration, evidence suggests that digital banking on its own is still an extremely popular method of banking.
According to a survey by Bankrate, nearly two-thirds of all smartphone users in the U.S. have at least one financial app.
Seventy percent of respondents in this survey also said they check their bank’s mobile app at least once a week, while 16 percent of respondents said they check it everyday.
